Andhra Pradesh outlines plan for green hydrogen valley in Amaravati

The government of Andhra Pradesh has released a declaration for developing a green hydrogen valley in Amaravati to create an integrated ecosystem for green hydrogen and its derivatives by 2030.

Targets include setting up 2 GW of electrolyser manufacturing capacity by 2027, expanding it to 5 GW by 2029, and building 1.50 million metric tonnes per annum of green hydrogen production capacity by 2029. The policy also seeks to lower hydrogen production costs from about Rs 460 per kg to Rs 160–170 per kg within the same timeframe.

Transmission infrastructure will be developed to evacuate 25 GW of renewable energy by 2029 to support the valley’s energy needs. The plan follows the green hydrogen summit held in collaboration with the New and Renewable Energy Development Corporation of Andhra Pradesh.

By 2030, at least 60 per cent of electrolyser and hydrogen storage components used in the state are expected to be locally manufactured. Andhra Pradesh plans to set up three or more manufacturing units with a combined capacity of 4–5 GW. The policy also includes India’s first integrated green hydrogen skilling programme, targeting 200 trainees in its first year and 2,000 annually by 2030.

The state’s solar, wind, and pumped hydro resources, along with its coastline, are expected to support export-oriented hydrogen production targeting Southeast Asia.